IBM's net income for the quarter was US$3.8 billion, up 7 percent form the same quarter a year earlier. Revenue was $26.16 billion, an increase of 8 percent, or 3 percent adjusting for currency fluctuations. The figure was below analyst expectations of $26.26 billion, according to a survey by Thomson Reuters. Earnings per share was $3.19 on a GAAP basis, an increase of 13 percent.

IBM CFO Mark Loughridge stressed the importance of emerging markets for the future of the company's growth. "We are leveraging our growth plays while expanding margin," he said in a conference call to discuss the results.

Revenue from growth markets such as China and Brazil was up 19 percent, or 13 percent at constant currency rates, and provided 23 percent of IBM's total revenue.

"Consistent with our model, growth markets, along with our other key growth initiatives, are driving our revenue performance," Loughridge said. During the call, analysts repeatedly asked about sluggish sales growth in the public sector and financial services market, as well as in the major markets overall.

Loughridge urged investors to look at the strong performance in individual units, such as software and service. "I wouldn't look at the overall financial services sector through a major-market lens. Some of the issues we were all reading about, we don't see that in the growth markets," he said.